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Analysis of Mirandus Tours Company - Report Example

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The paper "Analysis of Mirandus Tours Company" provides a detailed analysis of Mirandus Tours Company based in the UK. It analyzes its current marketing communications and suggests a new marketing communication strategy and tactics…
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Executive Summary Mirandus Tours is a UK based company specializing in customized, private tours of London and other parts of the country. Mirandus Tours is successful due to a number of traits and practices within the company. The company maintains an active system and process of good organization which ensures that the best possible experiences are passed to customers. As a successful tourist operator, Mirandus truly cares about making the experiences of its clients the best it can be for its clients. Being attentive, proactive and responsive to the needs of the customers, employees at Mirandus Tours are able to avoid a common challenge that faces tourism companies. The company currently communicates to its clients through the company website. From the website, clients are able to view prices, trip schedules as well as tours and proposed places to visit within U.K. The company website is constantly updated by the company to reflect current information. The updated information on the website usually relates to information on services being offered by the company. The company also manages a Facebook page that is constantly updated to ensure the fans of the webpage receive real-time information. Referrals are also used by the company in communicating to clients and customers. The company encourages its clients to share word of its services and offerings to their friends and family. The proposed communication strategy seeks to capitalize on the strengths of the company and work on the challenges facing Mirandus. In addition, direct marketing in the new communications strategy will allow the company to reach its clients directly and in a timely manner. Contents Executive Summary 1 Introduction 3 Situational Analysis 4 Background Information 4 Current Position 8 Current Communications of the Firm 9 Company Website 10 Social Media 10 Referrals 10 Company Analysis 11 Customer Analysis 12 Competitor Analysis 13 Campaign Evaluation 18 Summary 20 Introduction Mirandus Tours is a UK based company that specializes in customized, private tours of London and other parts of the country. The company shows its clients fun places across the country making sure that its clients enjoy their stay and visit of the country and its tourist attraction sites. At Mirandus Tours, a visitor’s time is the most precious commodity. The company works to help its clients make the most out of their time when visiting the country. The guides of the company take clients around thereby reducing the stress that clients would encounter had they organized trips for themselves. The company typically combines travel and tour components of a holiday to create the holiday experiences for its clients. Mirandus Tours is successful due to the various partnerships and relationships that the company y has established with other players in the tourism industry. For instance, Mirandus Tours has liaised with hoteliers, airlines and resort reps that help in planning successful trips for the clients. Holidays are marketed to clients via the company’s website, social media, brochures as well as travel agents. The company uses market research and information from market analysis to make its decisions. These planned out decisions are perhaps the greatest contributor to the success of Mirandus. Situational Analysis Background Information The tourism industry in the U.K is an invisible giant. This sector currently accounts for the sixth largest industry in the country responsible for employing 1 out of 11 individuals working in U.K. it is, however, surprising that the tourism sector is hardly under any political radar or scrutiny. The main reason for this is the fact that unlike other industries, approximately 80 percent of the 249,000 businesses in the country only employ less than 10 individuals. The small businesses are also spread across the breadth and length of the country and are located in every city within the kingdom. The tourism industry is one of the key areas of building the UK economy and generating income within the country. Companies such as Mirandus Tour are responsible for playing this noble role. The rate of inbound tourism in the country grew at overall rate which was 5 times more than the rate of the growth of the economy in 2011. Estimates show that the estimated growth rate of domestic tourism grew at 14 percent more than what was recorded in the previous year. Even though these figures are impressive, there is still more that can be done to improve the industry and increase the contribution of this sector to the overall economy of the U.K. the three main aspects that the country currently provides which are uncompetitive in international markets include; Visa requirements, VAT rates and duty of Air Passengers. The country ranks as the 6th most competitive country globally in tourism but is also 135th out of 139 states in the world in terms of hefty taxation on tourists. The charts below summarize the tourism industry in the U.K. Figure 1: Visitor Number and Total Expenditure Figure 2: Domestic Tourism Figure 3: Tourists and Total Expenditure Figure 4: Revenue from Tourism Table 1: Domestic Toursim by Region The U.K is the sixth largest international tourism destination ranked by the number of visitors. When ranked by expenditure, the U.K stands at the seventh largest tourism destination. The sector currently employs 2.66 million individuals. The sector is currently a significant source of employment for individuals who are not able to work on full time jobs. However, turnovers in the sector have generally declined by close to 23 percent. With every 1 percent increase in the cost imposed on visiting the UK, the earnings in the tourism sector reduce by approximately 1.3 percent. Current Position Mirandus Tours is successful due to a number of traits and practices within the company. The company maintains an active system and process of good organization which ensure that the best possible experiences are passed to customers. Without these systems and processes in place, a customer can often be impacted in various ways such as reduced revenues, unprofessional service levels, and lack of opportunities to reinvest. Having good systems and processes plan in place allow tourism operators such as Mirandus Tours grow their businesses as opposed to being stagnant or heading in a backward direction. As a successful tourist operator, Mirandus truly cares about making the experiences of its clients the best it can be for its clients. This goes beyond the smiles of the receptionist at the front desk of the company or the tone of the customer care representatives on the phone. Commitment to customer service by Mirandus Tours personnel starts with simple things such as the tome of marketing and communicating to clients on online platforms, listings and the company’s website. The commitment then goes on to post communication activities and how clients are handled all through the trips and tours made. Being attentive, proactive and responsive to the needs of the customers, employees at Mirandus Tours are able toavoid a common challenge that faces tourism companies. Many of these companies often undo their good work by focusing all their attention on the trip and forgetting to pay attention to small detail and needs of customers. Current Communications of the Firm Clients often judge companies by the image that these companies portray. Some clients may analyze a company on such small details as color and themes used by the company. It is pertinent that a company communicate to its clients in a manner that these clients can appreciate and understand. The avenues of communicating to clients need to be simple and easy to understand yet remain informative. Brand consideration among clients is an important factor that leads to the consideration of purchasing a product or service. Mirandus Tours Company communicates to its clients in ways that the clients can relate and understand the messages. Some of the communication avenues used by the company include the company website, social media platforms, referrals as well as running ads on television. Company Website The company currently communicates to its clients through the company website. From the website, clients are able to view prices, trip schedules as well as ours and proposed places to visit within U.K. this company website is constantly updated by the company to reflect current information. The updated information on the website usually relates to information on services being offered by the company. Social Media In addition to the company’s website, Mirandus manages a Facebook page that is constantly updated to ensure the fans of the webpage receive real-time information. This fan page on Facebook has a number of users who can view products as well as write messages to the company incased of any queries. Facebook, being a social media website, provides the company with a low cost avenue of advertising to its clients as Facebook adverts can advertise directly to target individuals in need of Mirandus’ products and services. Referrals Referrals are also used by Mirandus in communicating to clients and customers. Referrals are usually a powerful avenue in marketing as individuals usually trust the word of their close friends and family members. The company encourages its clients to share word of its services and offerings to their friends and even gives them stickers that are used to further advertise. Communication is a solid part of business and mirrors the objectives, mission and vision of a company. Through proper and effective communication, a company is able to grow and develop in its sector to maturity. This is why it is important for a communication strategy to have solid roots in the overall business strategy. This is why Mirandus is keen on its communication strategy and makes sure that its clients and prospective clients are able to get information on time. Company Analysis When analyzing Mirandus Tours, commitment to quality and perfection pops up frequently. From the leadership of the company to the employees working with the clients, commitment and passion can be seen. Mirandus Tours is characterized by having great networks and numerous connections.it is true that operators that are well networked perform better when compared to those who conduct their businesses alone. Thegreat connectivity in networks within Mirandus is identified by the patnerships and relationships that the company has with other key players in the Tourism sector. Mirandus Tours is also friendly and accommodative to the local environments. The company makes concerted efforts to stay in contact with other local businesses and participate in local activities where it is capable. Friendliness is thought to fuel the marketing of a business by word of mouth based on the good deeds of the company. The ability of grasping new technologies is pertinent to all business regardless of the field and industry that they operate in. Mirandus Tours grasp and adoption of new technologies is an impresive characteristic of the company. Many tours company fail to embrace new technologies when these technologies become available and this is the most important step when statistics can speak for themselves. By keeping up-to-date with new technologies, Mirandus is able to reduce its costs of operations, improve sales and increase eficientcy.Technology is embraced internally within the company. The systems used by the company are updated and tailored to deal with the ever changing business environments. Externally, the company keeps up with technology by marketing and advertising on social media as well as constantly updating its website to meet the industry standards. Customer Analysis Many tourists visit the U.K to enjoy great destinations as well as attraction sites within the country. Holiday making is both an economic and social activity within U.K. Mirandus Tours handles both inbound and outbound tourists. Most of the customers that the company handles are comprised of families who have children and older folks. These individuals making up the customer base of the company are individuals who have incomes and can thus spend on holidays and great experiences which are offered by Mirandus. However, this trend has been improving in the recent past with the youths also engaging in tourism. The customers of Mirandus Tours buying behaviors are characterized by concerns over safety and security while travelling and touring the U.K. the company is thus keen on ensuring that the safety of the customers is always put into consideration. Tourists using the services of Mirandus are increasingly purchasing experiences as opposed to the usual routine holiday. A report by BBC showed that the number of tourists visiting the UK from Russia, Brazil, China and India is likely to increase. This new incoming traffic will be mainly comprised of families who are the main clients of the company. Prediction by the report showed that the number of visitors by the end of 2014 is expected to have risen by approximately 30 percent and 90 percent from China alone which will be an equivalent of a 90 percent jump. However, the majority of population expected to visit the country is expected to come for North America and Europe which makes up the traditional markets of the tourism sector in the UK. A report by BBC showed that the number of tourists visiting the UK from Russia, Brazil, China and India is likely to increase. This new incoming traffic will be mainly comprised of families who are the main clients of the company. Prediction by the report showed that the number of visitors by the end of 2014 is expected to have risen by approximately 30 percent and 90 percent from China alone which will be an equivalent of a 90 percent jump. However, the majority of population expected to visit the country is expected to come for North America and Europe which makes up the traditional markets of the tourism sector in the UK. Competitor Analysis As there are hundreds of companies in the tourism business, it may be difficult to establish and specify the exact competitors of Mirandus Tours. It can be concluded that the market is in a state of perfect competition with no individual tours company in a position to affect the market directly. Aggressive marketing and advertisement by the company’s competitors is a major challenge posed by these competitors. The competitors, mainly upcoming companies, use low cost avenues of advertisement such as weblogs, email marketing as well as social media platforms in advertising their services. Competition facing the company is differentiated in a number of ways. Some of the competing firms, for instance, lower the prices of their packages. Others improve the quality of their package and give away freebies to their clients as well as create loyalty programs for their regular and loyal clients. Some companies have been offering discounts on the packages of their products. Other companies compete on the brand level by seeking to establish brand identity of their offerings and ensure customer loyalty. Competition within the tourism sector in the UK is fast evolving with growth moving from cultural tourism to creative tourism. Many of Mirandus’ competitors are shifting their businesses from traditional perspectives to creative ones. These competitors are transforming cultural markets into mass markets where foreigners can visit and enjoy creative tourist packages. Major competition that Mirandus faces is thus from the “buzz” that other companies are exploiting to provide tourists with attractive packages. Marketing Communication Objectives 1. To increase the awareness among consumers of Mirandus tours and its offerings 2. To foster greater communication between the potential clients and the tours company 3. To use feedback from the clients to improve the quality of our services, thereby improving the satisfaction amongst our clients 4. To grow the awareness amongst our clients of our tour areas and locations and increase their urge to visit these areas 5. To engage with our clients and identify the optimal areas of our product mix thereby providing cutting edge Marketing Communications Strategy and Action Plan Advertising Strategy and Tactics For a company to successfully implement its advertisement strategy, it must first develop a suitable mission for its advertising campaign. The more focused the company gets in the mission, the more targeted the advertisement of the company will be. Once a mission is in place for the advertisement strategy of the company, leaders can successfully roll out the advertisement strategy (Mickey, 2003). For Mirandus, its advertising strategy should focus on raising awareness of London as a tourist destination owing to its historical heritage. Mirandus already has an active website and this signals the readiness of the agency to harness the power of the internet in the advertising and marketing of its products. The website offers a comprehensive coverage of its activities and offerings. However, it does not offer a descriptive analysis of its tour destination in a manner that allows the user to understand the significance of the highlighted areas. This poses a problem in that the tours are left to those who are aware of or familiar with the areas and their significance. However, providing a brief overview of the target tour areas would allow the agency to attract new and potential clients who are interested in touring but have not settled on the destination. Consequently, the site should be amended such that it offers brief articles narrating the significance of the areas to be toured. Besides its website, Mirandus also has a social media presence particularly on facebook. This platform should be used in a similar fashion. This is by expressing to its clients the nature of the locations and what there is to see on at the sites. An added advantage of this approach is that it provides the clients with something to talk about while they are on the tour. The aim of the approach would be to create awareness, but the information provided would be sketchy and at most only descriptive enough to create suspense. Mirandus can continue its advertisement strategy by always having something to say on their social media (Mickey, 2003). Marketing is usually about creating a series of messages that are integrated and compelling stories to customers (Mickey, 2003). Mirandus can successfully market their tours at low costs by constantly appearing on social media with a variety of stories and information about their tours. This allows its clients to acquaint themselves with its offerings. One of the greatest advertising strategies within the digital age is the use of web-based technologies. As noted, Mirandus has a website which it can improve on. One of the ways through which the agency can further improve on is to create a capacity for its clients to contribute to its offerings. Humphreys & Grayson, (2008) indicate that there is a rise in situations whereby individuals who have traditionally been identified as consumers are now producing exchange value that is enjoyed by consumers. Due to the empowerment of the consumer, they feel the urge to take up a more proactive role in the value-creation process (Hoyer et al., 2010). Thus, Mirandus can create a capacity for its clients to contribute to the design of the tours. This has obvious benefits such as a greater satisfaction. Sales promotion strategy and tactics Mirandus provides a variety of payment options for its clients. These include the use of both credit and debit cards, as well as online payment solutions such as PayPal. In order to harness clients, it can choose to provide discounts or coupons. For example, Mirandus can opt to provide coupons through its social platforms. This can be through an aggressive campaign aimed at growing awareness of the tour agency. An appropriate method of implementation would be to give coupons to customers who participate on its social media network only. The benefit of such an approach is that the interest generated by the desire for coupons or discounts would drive traffic to its site. The traffic can then be channelled to its site through a link. In the end, this promotional campaign would not only drive consumption of its services, but also increase awareness about its offerings. Direct Marketing This is one of the oldest forms of marketing and entails a direct line of communication with the client. Direct marketing is not only a suggested method for the tours agency, but in line with the other communication strategies suggested herein, it is a recommended option. Direct marketing is usually implemented through individualized channels of communication such as emails, telephones and even personal visits. In direct marketing, the company will strive to directly contact and reach its customers by using avenues such as email, text messages, promotional letters, commercials and interactive consumer websites (Percy, 2008). Within the current information technology paradigm, direct marketing can be considered to entail social media channels such as Facebook inboxes or Tweets. This should however be done in accordance with ethical considerations. Thus, for example, the company may choose to inbox its updates to its Facebook followers. However, in order to avoid ethical issues, Mirandus should request its followers to subscribe to its updates. Direct marketing will have many advantages. For example, it will allow Mirandus to respond to its client’s specific requirements. Moreover, it allows the agency to establish direct lines of communication with its clients. An alternative that the agency can pursue is to allow its consumers to create accounts on its website. This has the greater advantage in that it delimits the ethical considerations contemplated in the case of social media options. Moreover, the agency is able to generate a database of consumers of its services that can more readily be used to adapt its services to the needs of such clients. The established database further creates familiarity between the clients and the agency. Once the database has been generated, sales promotional strategies become easier to implement. Mirandus can adjust prices of its packages for established clients by providing cumulative discounts. In addition, the agency can offer special prices for social media fans and promote the social media strategy as well as increasing sales volume and promotion of its products. Through the social media, the company can solicit tours from individuals who were previously fans of the company but never went on any tours. The special pricing of the company’s products on social media is a bonus to this strategy. Finally, brand image and brand reputation will be greatly used in direct marketing to achieve the objective of strengthening brand relationship with Mirandus offerings. Individuals who will be directly contacted by Mirandus through its direct marketing plan will get a chance of learning more about Mirandus tour locations and its tour programs, thereby furthering their interests in actually going on tour. As a part of its direct marketing strategy, the agency can come up with virtual tours. Such tours are prominently used by educational institutions to provide prospective foreign students with a vivid overview of the campus’s outlay. Mirandus can borrow a leaf and use virtual tours to provide its clients with sneak peeks of what they can expect to experience while they are on tour. Campaign Evaluation The campaign seems to be efficient in providing value for money. In general, the campaign seeks to polish and improve the communication strategy of Mirandus by focusing on the strengths and other key areas within the company. The focus on the internet as a medium of communication is a strong point for the company. In communication, Mirandus can use the internet well as a medium. Based on the readiness of the company to adopt and effect both new and existing technologies which are promising, it is evident that the success of the campaign will be realized. By solving the gap existent in the company’s website, a number of challenges can be tackled. For instance, the lack of providing significant information to visitors on the highlighted areas and destinations within the website is a fail on the company’s part. With the campaign in place, such areas are to be improved and ultimately all visitors of the company’s website will have knowledge of the destinations and attraction sites that Mirandus can take them to visit. As such, new clients with no prior knowledge of England will use the services of Mirandus. The proposition of amending the site to offer brief narratives on the areas to be toured is a plus for the company as it crates anticipation and enthusiasm in the visitors. Besides its website, Mirandus also has a social media presence particularly on Facebook. This platform should be used in a similar fashion. This is by expressing to its clients the nature of the locations and what there is to see on at the sites. An added advantage of this approach is that it provides the clients with something to talk about while they are on the tour. The aim of the approach would be to create awareness, but the information provided would be sketchy and at most only descriptive enough to create suspense. Secondly, the use of web-based technologies as an advertisement and communications strategy is one of the greatest approaches of this age. By improving the offerings of the website as well as creating capacity for clients to contribute, Miranda will ultimately streamline its communication. As noted, Mirandus has a website which it can improve on. One of the ways through which the agency can further improve on is to create a capacity for its clients to contribute to its offerings. Summary A report by BBC showed that the number of tourists visiting the UK from Russia, Brazil, China and India is likely to increase. This new incoming traffic will be mainly comprised of families who are the main clients of the company. Prediction by the report showed that the number of visitors by the end of 2014 is expected to have risen by approximately 30 percent and 90 percent from China alone which will be an equivalent of a 90 percent jump. However, the majority of population expected to visit the country is expected to come for North America and Europe which makes up the traditional markets of the tourism sector in the UK. The company currently communicates to its clients through the company website. From the website, clients are able to view prices, trip schedules as well as ours and proposed places to visit within U.K. this company website is constantly updated by the company to reflect current information. The updated information on the website usually relates to information on services being offered by the company. Referrals are also used by Mirandus in communicating to clients and customers. Referrals are usually a powerful avenue in marketing as individuals usually trust the word of their close friends and family members. The company encourages its clients to share word of its services and offerings to their friends and even gives them stickers that are used to further advertise. Communication is a solid part of business and mirrors the objectives, mission and vision of a company. Through proper and effective communication, a company is able to grow and develop in its sector to maturity. In addition to the company’s website, Mirandus manages a Facebook page that is constantly updated to ensure the fans of the webpage receive real-time information. This fan page on Facebook has a number of users who can view products as well as write messages to the company incased of any queries. Facebook, being a social media website, provides the company with a low cost avenue of advertising to its clients as Facebook adverts can advertise directly to target individuals in need of Mirandus’ products and services. Mirandus Tours is characterized by having great networks and numerous connections.it is true that operators that are well networked perform better when compared to those who conduct their businesses alone. Thegreat connectivity in networks within Mirandus is identified by the patnerships and relationships that the company has with other key players in the Tourism sector. Mirandus Tours is also friendly and accommodative to the local environments. The company makes concerted efforts to stay in contact with other local businesses and participate in local activities where it is capable. Friendliness is thought to fuel the marketing of a business by word of mouth based on the good deeds of the company. The ability of grasping new technologies is pertinent to all business regardless of the field and industry that they operate in. Mirandus Tours grasp and adoption of new technologies is an impresive characteristic of the company. Many tours company fail to embrace new technologies when these technologies become available and this is the most important step when statistics can speak for themselves. Many tourists visit the U.K to enjoy great destinations as well as attraction sites within the country. Holiday making is both an economic and social activity within U.K. Mirandus Tours handles both inbound and outbound tourists. Most of the customers that the company handles are comprised of families who have children and older folks. These individuals making up the customer base of the company are individuals who have incomes and can thus spend on holidays and great experiences which are offered by Mirandus. However, this trend has been improving in the recent past with the youths also engaging in tourism. Direct marketing will have many advantages for Mirandus. For example, it will allow Mirandus to respond to its client’s specific requirements. Moreover, it allows the agency to establish direct lines of communication with its clients. An alternative that the agency can pursue is to allow its consumers to create accounts on its website. This has the greater advantage in that it delimits the ethical considerations contemplated in the case of social media options. Moreover, the agency is able to generate a database of consumers of its services that can more readily be used to adapt its services to the needs of such clients. The established database further creates familiarity between the clients and the agency. Once the database has been generated, sales promotional strategies become easier to implement. Mirandus can adjust prices of its packages for established clients by providing cumulative discounts. In addition, the agency can offer special prices for social media fans and promote the social media strategy as well as increasing sales volume and promotion of its products. Through the social media, the company can solicit tours from individuals who were previously fans of the company but never went on any tours. The special pricing of the company’s products on social media is a bonus to this strategy. References Hall, D. R., Smith, M. K., &Marciszewska, B. (2006). Tourism in the new Europe: The challenges and opportunities of EU enlargement. Wallingford, UK: CABI Pub. Ireland, R. D., Hoskisson, R. E., &Hitt, M. A. (2008). Understanding business strategy: concepts and cases. Mason, OH., South-Western Cengage Learning. Lamb, C. W. (2004). Marketing. Cape Town, S.A: Oxford University Press. Mickey, T. J. (2003). Deconstructing public relations: Public relations criticism. Mahwah, NJ: Lawrence Erlbaum Associates, Publishers. Percy, L. (2008). Strategic integrated marketing communication: Theory and practice. Amsterdam: Butterworth-Heinemann. Robinson, P. (2009). Operations management in the travel industry. Wallingford, UK: CABI. Wood, M. B. (2005). The marketing plan handbook. Upper Saddle River, NJ: Pearson Prentice Hall. Worth, R., & J.G. Ferguson Publishing Company. (2004). Communication skills. New York: Ferguson. Read More
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